Seacera posts quarterly net loss of RM102m

PETALING JAYA: Seacera Group Bhd reported a net loss of RM102.15 million for three months ended March 31, 2019.

The net loss was due to impairment of plant, machinery and equipment due to permanent shutdown of the tiles factory of RM23 million; impairment of amount due from associate company ,namely SPAZ Sdn Bhd of RM43 million; and recognition of liability on corporate guarantee in favour of SPAZ Sdn Bhd of RM31 million as demanded by SME Bank.

Revenue for the quarter under review came in at RM783,000.

Seacera’s financial year end has been changed from Dec 31, 2018 to June 30, 2019.

For the 15-month period, its net loss stood at RM151.95 million on the back of RM24.09 million in revenue.

The group also anticipates a challenging year ahead with its Practice Note 17 (PN17) status and insufficient cash flow to support the operations and repayment of its banking facilities.

“In addition, there are uncertainties of local and global economies particularly slowdown in property development and construction industries, lower consumer demand and US-China trade war,” it said.

Nevertheless, Seacera said it will continue to formulate and develop strategies to propose a regularisation plan that will uplift the PN17 status within the 12 months period stipulated under the listing requirement.

In a separate filing with Bursa Malaysia, Seacera said there will be no suspension in trading of its shares following the submission of its unaudited quarterly report.